SIC-18
Historical
Consistency–Alternative Methods
Addressed how consistently an entity must apply a chosen accounting treatment when a standard permits a choice between benchmark and allowed alternative treatments. Superseded in 2003.
Historical Reference
SIC-18 was withdrawn in March 2003 when the IASB issued Improvements to IFRSs, which eliminated most benchmark and allowed-alternative treatment choices from individual standards, removing the need for SIC-18's consistency requirement.
This page is retained for historical and comparative reference. Entities should refer to the current standard that superseded this interpretation for authoritative guidance.
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What SIC-18 Addressed (Historical)
What SIC-18 addressed
SIC-18 addressed how consistently an entity must apply a chosen accounting treatment when an IFRS permits a choice between a benchmark treatment and an allowed alternative treatment. It provided guidance on whether an entity could mix treatments across periods or items.
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The Conclusion It Reached (Historical)
The conclusion it reached
SIC-18 concluded that an entity must apply its chosen treatment consistently. Once an entity selects either the benchmark or the allowed alternative treatment under a particular IFRS, it must apply that treatment consistently for all assets and liabilities within a class, and from period to period, unless a change in accounting policy is justified under IAS 8.
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Where This Guidance Lives Today
Where this guidance lives today
Superseded byImprovements to IFRSs (2003)
Why withdrawnThe 2003 Improvements project eliminated most benchmark and allowed-alternative choices, absorbing consistency into IAS 8
Current statusSuperseded
Glossary
Benchmark treatment
The preferred or norm-requirement accounting treatment specified in an IFRS when the standard originally permitted a choice between treatments.
Allowed alternative treatment
The optional accounting treatment permitted alongside the benchmark treatment under certain older IFRS standards.
Financial statement key
BS Balance sheet
IS Income statement
SE Statement of changes in equity
OCI Other comprehensive income
SCF Statement of cash flows
History & Development
Jan-2000
In January 2000 the Standing Interpretations Committee issued SIC-18 Consistency–Alternative Methods.
Apr-2001
In April 2001 the International Accounting Standards Board adopted SIC-18.
Minor consequential amendment to SIC-18
Mar-2003
In March 2003 the Board issued Improvements to IFRSs which superseded SIC-18.
Superseded by 2003 Improvements project